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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Jason Mackey
NetID Jmac817
Group Number: 421
Website Link: http://infosys1102014s1group421.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Olivia Schultz-Duffy Friday 9am
Time Spent on
Assignment:
15 hours Word Count: 1548

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ALTERNATIVE FUEL MANAGEMENT OPTIONS
INTRODUCTION
In 2011 the number of cars worldwide surpassed a billion
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. Every single one of these
vehicles require topping up with petrol every once and a while. All that is currently available
to us is the conventional Pre-pay method of topping up which is time consuming - burning
profits for businesses. To speed up this process group 421 came up with an Smartphone
application that is linked wirelessly between the fuel station and the bank, allowing
automatic payments for fuel as you top up removing the need to leave your car and pay.
3. BUSINESS SECTION
3.1 Vision
To provide a efficient and effective service for all car users, allowing them to decrease the
time spent idle while filling up their motor vehicles while increasing profits for businesses
involved.
3.2 Industry Analysis: Fuel Management Industry
Industry: Fuel Management Industry.
Force: High/Low: Justification:
Buyer power: Hi
PMAA is a national trade association collectively
representing over 8,000 companies in the petroleum
and convenience industry
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Buyers have a high
range of firms to choose from when it comes to Fuel






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Management.
Supplier power: High The Fuel Management Industry has high supplier
power due to the many different oil companies to
partner with.
Threat of new entrants: High As technology advances, a greater selection of
fuel management options will become available
to us. Because of this threat of new entrants are
high.
Threat of substitutes: High Though there are currently very little substitutes
in the Fuel Management Industry, as technology
advances, more alternatives will become
available to consumers. Because of this, threat of
substitutes are high.
Rivalry among existing
competitors:
Low As there are few alternatives in the Fuel
Management Industry currently, there is little
rivalry.
Overall attractiveness of the industry: Overall, this industry is highly attractive. Creating a
product/ service that decreases the time spent idle while refuelling allows for greater
efficiency. This is a far better alternative to pre-pay fuel and would be highly successful due
to the current Five Forces of this industry.
3.3 Customers and Thei r Needs
Almost all vehicles require fuel to run. For a business, the use of fuel is almost a necessity;
and so therefore, the customers of this inventory are virtually every firm and consumer. For
firms transport of goods and raw materials are a large part of their production. By
decreasing the idle time spent fuelling vehicles through conventional methods of prey pay

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fuel at stations profits will increase. By building a better energy supply chain, such as fuel
procurement, key processes are able to be intergrated. Allowing for reduced costs,
improved inventory visibility, streamlined service operations, and more.
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3.4 The Product and Service
By creating a mobile application that uses a Transaction Processing System (TPS) which
allows for automatic payments when refueling a vehicle means businesses are able to cut
down wasted time spent prepaying for petrol. The cost of production for each unit sold
decreases, increasing profits for the firm involved.
3.5 Suppliers and Partners
Sourcebits Design-Led Engineering is a top mobile App developer in the US and could be a
potential supplier due to the 30 years experience
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, having the ability to give insight within
the Smartphone Application market allowing for an effective App.
BP, the fuel giant is another potential supplier as their many resources and connections
allow for highly modern technology, allowing for ease of intergration with the desired
application.
ASB could be a partner due to the knowledge in mobile banking. By applying mobile banking
capabilities from ASB, the effectiveness of the application could increase.
Vodafone is a potential partner also, due to extensive knowledge of the smartphone
market. This can applied to increase the standard of application required.








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3.6 Strategy: Cost Leadership
Broad Market: This application is targeted at everyone that owns a motor vehicle, regardless
of how they use it. Everyone has to refuel their vehicles and so this is a viable alternative to
the conventional way.
Low Cost: A simple application has a low cost in being created and so very little costs of
production need to be passed on to the consumer.
The overall strategy is therefore Cost Leadership.
3.7 Value Chain Activity: Service after Sale
The most important value chain activity for this business is Service after Sale
The primary process of the mobile application is to provide a technological service using
various information systems. Because of this, the most important Value Chain Activity is
Service after Sale as it is to provide an uninterrupted, ongoing application after the product
has been originally purchased maintaining high customer satisfaction and application
effectiveness. This VCA is an important way to maintain high customer relations. Many
feedback options and customer support sections would be involved, developing the
Customer Relationship Management System.
3.8 Business Processes
3.8.1 PRODUCT PURCHASI NG PROCESS A specific purchasing process must be utilised to
allow the use of the application. This several step process initialises with the customer
contacting the Application Team (AT) through a purchase order. AT confirms this customer
order and through the use of an accounting system, the AT sends an invoice. Once received
by the customer, payment is sent to AT. The data base is then unlocked for the consumer,
allowing them to pull the software from the server to download and install.

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BUSINESS PROCESS MODEL













3.8.2. CUSTOMER SIGN-UP PROCESS - Initially the Application team (AT) receives a purchase
confirmation (through a purchasing system) from a customer (for personal or business use).
Once received, the AT sends a Sign-up order to the customers through the application. Once
the credentials have been filled up in the order and received, AT confirms these details with
the customers banks using an accounting department to ensure 100% validity. At this point

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a DSS system must be used. If the application is used for personal use then all information is
confirmed and the customer is able to utilise the application. However, if the app is used as
a business tool to reduce Costs of Production, a license must be purchased from the
Accounting Department of the AT. An invoice is sent and the payment is received. Only then
is the customer able to make us of the application.

BUSINESS PROCESS MODEL






















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3.9 Functionalities
3.9.1. PRODUCT PURCHASING PROCESS
Check that payment has been received before allowing download of app.
Process the invoice
3.9.2. CUSTOMER SIGN-UP PROCESS
Identify whether its for personal or commercial use
Check whether the information provided by consumer is accurate
3.10 Systems

3.10. 1. TRANSACTION PROCESSI NG SYSTEM (TPS) The TPS is used almost immediately when
the customer and AT come in contact. When purchasing the application, a sales processing
system is used as credit and data is exchanged between hands. An invoice is process and
sent from the accounting department to the consumer simultaneously. By using a TPS
system, transactions between the two parties happen seemlessly and automatically, cutting
down human labour.
3.10. 2. DECI SION SUPPORT SYSTEM (DSS) - A DSS system is used in the Customer Sign-up
process, supporting the functionality of identifing whether the product is for personal or
commerical use. By easily catergorising the customers of the product human labour is cut
down, leaving the AT to focus on more Technology Development (R&D) therefore
providing free updates and increasing efficiency and effectiveness of the smartphone app.
3.10. 3. CUSTOMER RELATIONSHI P MANAGEMENT (CRM) The value chain activity associated
with the mobile application is Service after sale. By automating many other systems (DSS,
TPS), the AT instead uses human labour instead on CRM, providing many feedback
opportunities as well as extensive customer support. The CRM also links in with the DSS
when it comes to deciding whether the app is for personal or commercial use, through
questionairres and customer service lines.


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3.11. Summary Table: Value Chain to Systems

Value Chain
Activity
Processes Functionalities Specific Information
System(s)
Broad Information
System(s)

Service
After Sale
1. Product
Purchasing
Process
1. Check that payment has been received
before allowing download of app.

2. Process the invoice.
Payment processing system

Accounting management
system
TPS

TPS
2. Customer
Sign-up
Process
1. Identify whether it is for personal or
commercial use

2. Check whether the information provided
by consumer is accurate

License management system

Customer analysis system
DSS

CRM

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CONCLUSION
Through the use of this mobile application (that reduces time spent idle while pre-paying for
fuel) the way the Fuel Management Industry is run can be altered to support businesses and
consumers more efficiently than before. By implementing support systems through
Information Systems (IS), the organisation is able to understand the market they are able
to identify what the customer wants and how to deliver it.
REFERENCES

1. HuffingtonPost, Number of Cars Worldwide Surpasses 1 Billion,
http://www.huffingtonpost.ca/2011/08/23/car-population_n_934291.html
(August 23rd 2011)

2.
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FuelQuest, FuelQuest Voted Best Fuel Management Program by Leading Fuel
Marketing Executives, http://www.marketwatch.com/story/fuelquest-voted-best-
fuel-management-program-by-leading-fuel-marketing-executives-2014-05-15
(May 15th 2014)

3.
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SAP, Optimize your energy supply chain with SAP software for utility companies,
http://www.sap.com/solution/industry/utilities/solutions/lob/energy-supply-
chain.html (July, 2013
4.
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Dan Gilligan, president, Petroleum Marketers Association of America.
FuelQuest Voted Best Fuel Management Program by Leading Fuel Marketing
Executives, http://www.marketwatch.com/story/fuelquest-voted-best-fuel-
management-program-by-leading-fuel-marketing-executives-2014-05-15
(May 14
th
2014)
5.
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Sourcing Line, Sourcebits http://www.sourcingline.com/directory/mobile-
application-developers,